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Do you own gold? – Asia Times
Inflation is headed upwards, but the gold price is falling. Many investors buy gold in the mistaken belief that it’s a hedge against inflation. It isn’t. It’s an…
Inflation is headed upwards, but the gold price is falling.
Many investors buy gold in the mistaken belief that its a hedge against inflation. It isnt. Its an insurance policy against a catastrophic loss of value for the US dollar.
So are inflation-indexed Treasury securities. Investors get a negative yield on Treasury Inflation-Protected Securities, or TIPS, plus the percentage increase in the US Consumer Price Index. If inflation goes up (at least by the CPI gauge) they will be paid more.
The…
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